What Is The Difference Between Marital And Separate Property
- Marital property is all property acquired during the marriage by either party with marital funds.
- Separate property is all property acquired prior to the marriage that is kept in a separate name.
- Separate property funds earned prior to the marriage must be kept in a separate account.
- If separate property funds are placed into a joint account, they lose their separate property character and are considered marital funds.
- The same goes with separate property. If title to separate property is placed in joint name, then that property is transmuted and it becomes marital property.
- Gifts from third parties and anything that is inherited during the marriage is separate property, not marital property.
- Gifts between spouses are considered marital property, not that spouse’s separate property.